Using Your HSA to Pay for Dental Expenses

If you've been to a dentist recently, it is unlikely you smiled when you received the bill.  Costs of most dental procedures have been rising faster than inflation.  Just a check-up and cleaning can cost up to $150.  And if you need major dental work, fees can be astronomical.  Crowns typically cost $850 - $1,000, and oral surgery can cost thousands of dollars.

Individual dental insurance plans are available, but are typically very expensive.  This is because of what is known in the insurance industry as "adverse selection" - the only people who tend to buy dental insurance are people who know they have dental problems and are already planning on using the coverage.

Unfortunately, most insurance premiums, including dental insurance premiums, cannot be paid for from an HSA.  But dental expenses certainly can be.  Because you fund your HSA with pre-tax dollars, you could easily save $500 or more off the costs of your family’s yearly dental expenses by paying for the charges from your Health Savings Account.

Prepaid dental plans are another way to help reduce your dental expenses.  These plans charge a small monthly fee (typically around $7/month for individuals, or $16/month for families), and subsequently provide significant discounts for check-ups, fillings, extractions, and other services, as long as you go to a network dentist.  Some plans also help towards the cost of glasses or contact lenses.  Because these plans are not considered to be insurance, they can also be paid for from your HSA.

So when keeping track of your eligible medical expenses that can be reimbursed from your HSA, remember to include dental fees and the premiums you pay for a prepaid dental plan.

To your health and wealth,

Wiley Long
President
HSA for America

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